BDCs purchase $20m at GHS 13.11/$1 from BoG
Bulk Oil Distribution Companies (BDCs) undertook a substantive transaction with the Bank of Ghana (BoG) on Thursday, March 28, 2024.
Seizing the opportunity presented by the central bank’s forex forward auction, these entities collectively acquired $20 million at a rate of GHS 13.11 per US dollar.
Participation in the auction saw 10 BDCs submitting bids within a spectrum of GHS 12.97 to GHS 13.15.
The strategic alignment of these bids with the BoG’s established forex forward rate of GHS 13.11 underscores the central bank’s concerted efforts to assuage uncertainties surrounding foreign exchange availability, particularly within the critical downstream sector responsible for pricing imported fuel.
The successful auction is poised to play a pivotal role in anchoring stability in fuel prices at retail pumps.
Meanwhile, in a bid to enhance liquidity and facilitate smoother foreign exchange operations, the Bank of Ghana in its Forex Forward Auction Calendar for the second quarter of 2024, has announced a substantial amount of $120 million to be made available to the BDCs through its bi-weekly FX Forward Auction.
An amount of $20m will be sold by the BoG to BDCs on each auction date.
The move by the Bank of Ghana demonstrates its commitment to promoting a robust and efficient foreign exchange market.
By ensuring that BDCs have access to a significant pool of foreign currency, the central bank aims to support the growth and stability of the oil distribution industry, ultimately contributing to the broader economy.
